Punitive Damages in Oregon

Punitive damages are as they sound—to punish a defendant for malicious, violent, oppressive, fraudulent, wanton, or grossly negligent misconduct. Gross negligence specifically highlights reckless conduct that constitutes a conscious disregard or indifference to the safety, rights, or life of others. Very large sums of money have been awarded around the U.S. as punitive damages, although they rarely occur in injury cases.

The Purpose of Punitive Damages

The entire purpose of punitive damages is to publicly punish the wrongdoer party and to deter future misconduct by the wrongdoer or other potential wrongdoers. This is best illustrated by products liability cases such as Grimshaw v. Ford Motor Company. In this case, the plaintiff suffered burn injuries after his vehicle caught fire upon being struck from behind. Evidence was uncovered during the trial that proved Ford knew about the potential for such fires and failed in making design changes. The appellate court held that the evidence supported a finding of malice, justifying punitive damages. In these types of cases, the court looks at the following factors to decide whether to award punitive damages, and if so, how much:

How likely it was that serious harm would occur as a result of the misconduct

How aware the defendant was of the likelihood of harm

How profitable the misconduct was

How long the misconduct lasted and whether it was concealed

How the defendant acted upon discovering the misconduct

The defendant’s financial condition

The courts also look at punitive damages awards previously issued for similar claims, and consider what kind of criminal penalties the defendant is subject to under statute ORS 30.925. It is worth reiterating that the assumption of risk in skiing is only a defense for ski area operators. Manufacturers, distributors, and vendors of ski equipment are liable for defective products and aren’t nearly as protected under the law.

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Copyright @ 2016 Richard H. Rizk, Attorney at Law | All Rights Reserved | Richard H. Rizk is licensed to practice law in Oregon, Washington, Illinois, and Federal District Court, and is a member of the Oregon Trial Lawyers.